EVERY DAY IS TAX DAY IN CHICAGO
October 10, 2007
It's not easy to keep track of all the times Chicago hits you with a tax because it has about two dozen different -- and sometimes obscure and stealthy -- ways to do it, says the Chicago Tribune.
Some of the taxes imposed by the city are paid exclusively by Chicago residents, including:
- A 7 percent "telecommunications tax" on phone bills as well as a monthly assessment of $1.25 per line to help defray the cost of the city's 911 center.
- A $30 to $90 a year tax for car owners, known in tax collector parlance as the "wheel tax."
- A real estate transfer tax on homes and other property of $7.50 for each $1,000 of sales price.
Other levies apply not only to Chicagoans but others who spend money in the city, for instance:
- A special 0.25 percent tax on restaurant bills; a tax on sales of wine, beer and spirits purchased at package goods stores.
- A tax on motorists who park in garages and lots; and a tax on admissions to off-track betting parlors, not to be confused with another tax on bets placed there.
- A 4.49 percent city hotel tax, a 5.64 percent state tax, along with two other taxes brings the total hotel tax to 14.59 percent.
- The federal government already receives $13.50 on the sale of every gallon of distilled liquor and the state another $4.50, but that didn't stop Cook County from slapping on its $2 levy and the city its $1.50.
- And for Cigarettes, the federal government gets 39 cents on every pack sold in Chicago, the state 98 cents, the city 68 cents and Cook County a whopping $2.
Source: Gary Washburn, "Tax Day is every day in Chicago," Chicago Tribune, October 10, 2007.
Browse more articles on Tax and Spending Issues